Stasy Pasterick: Yeah, sure. I think that there’s a few things that have to happen. And those things haven’t really changed. But what has changed is, we’re making pretty good progress on them. So number one a lot of factors do require demos, which for some of them who have started already, some of them we’re about to start here. The demos can take anywhere from a couple of weeks to a couple of months, depending on the size of the customer, oftentimes, a larger customer, like a larger fleet will require more time, right because large companies take time to go through their processes. Incentive. Right. So having, we’ve disclosed, essentially all of their vouchers, HV vouchers in California for hydrogen fuel cell truck for Nikola about applications for Nikola trucks.
But for a lot of people, this is a new process. And we’re helping and working, very closely with them and with dealers to get those incentives in and go through the process. Once the demo is done, incentive application is in the next big thing, obviously is making sure we have customer comfortable with the hydrogen infrastructure, which we’re working right with third parties, we have our own mobile fueling locations we plan to have to by early next year operating in California for customer purposes. So those are kind of the main things that need to happen to turn them into binding orders. Obviously, there’s a lot of pricing negotiations and things like that. I will say we’re already out of the 237 we’ve turned 20 already into the dealer orders that have been received by Nikola so that essentially covers, given our guidance half year production for Q4.
Mike Shlisky: Great.
Steve Girsky : And we mentioned on the call that we if you order a truck today, you’re probably not going to get until the end of the second quarter. So sorry part of the challenges is prioritizing these customers to the ones that value and zero emission most or highly.
Mike Shlisky: Got it and I appreciate those details. I want to turn secondly, to the dealer network. If I understood correctly, Stasy, you implied that perhaps a dealer dropped out during the quarter and some inventory had to be bought back. I wasn’t sure what that was all about. Can you share an insight that was an outside California dealership? Can you share the status of just kind of the broader outside California dealership as it stands today and your plan to develop that? Thank you.
Stasy Pasterick : Yes, I think that the current the buyback the two dealers from which we bought back trucks were contractually required to and we choose to terminate the dealership relationship to buy back those trucks. Those decisions are made by Nikola a lot of times they are made in combination with the dealer depending on demand depending on how much time and resources the dealer has to dedicate to Nikola business. So it’s not necessarily just because his dealers happened to be outside of California. We are focusing primarily on California so expecting if we do sign up future dealers, they’re most likely going to be more likely than not they will be in California and going forward. But we don’t necessarily have any active plans to cancel any other dealership relationships at this point.
Mike Shlisky: Great, I appreciate those details. I’ll pass the line.
Operator: Thank you. I will now hand the call back over to Dhillon for the investor questions.
Dhillon Sandhu : Thank you, operator. We received a series of questions from retail investors through the safe platform, the majority of which can be summed up into three topics. One hydrogen fuel cell, electric truck production, deliveries and orders. Two, battery electric truck repair and strategy, and three liquidity. So Steve, let’s start off with the first question. How do we think about hydrogen fuel cell electric truck production deliveries and how many orders have been received to date?
Steve Girsky : Thank you, Dhillon. We began serial production of the hydrogen fuel cell electric truck on July 31, and had our formal launch event on September 28. We delivered the first trucks in late October for commercial operation in captured fleets and will soon begin delivering wholesale trucks to dealers. They will then start delivering the trucks to end customer fleets. In Coolidge, we have a production capacity of up to 2,400 trucks per year, so we have more than enough production capacity to meet our targets this year and next. And we are working with our suppliers to ensure we have the materials and components to meet our targets and customer demand. As I stated earlier, to date Nikola and our dealers have received 277 non-binding orders for the hydrogen fuel cell electric truck from 35 different customers.
That is more than our production and delivery guide for Q4, so customers ordering trucks now will likely not receive a truck into late Q2 of next year. We believe there will be a large appetite for our trucks in the California market beginning in 2024 when the advanced Clean Fleets rule goes into effect, and drayage customers much begin replacing ICE trucks with zero emission vehicles.
Dhillon Sandhu : Thank you, Steve. Many of the questions on se had to do with the recall remedy and how we plan to move forward with the battery electric truck. Can you provide some color on our strategy there?
Steve Girsky : Sure, as I discussed earlier, we’re replacing the packs and the existing customer battery electric trucks with new packs from an alternative supplier. The battery electric truck 2.0 will also come with upgraded features. I want to reiterate that we are seeing strong demand for the truck receiving POs for 47 trucks from one dealer and deals in California continue to submit HVIP voucher applications. As of October, Nikola had approximately 50% of the issued vouchers that were requested in 2023 for battery electric truck tractors. We have one truck platform with two power trains, which provides customers optionality depending on their duty cycle. And we believe having two products is the right option moving forward. As I stated before, we anticipate having the first battery electric trucks back in customer hands in Q1 2024.
Dhillon Sandhu : Great onto the next topic. Stasy, the investors asked how well capitalized are you to take new orders and ramp production?
